By Jonathan Smoke | realtor.com
So far, 2016 has held an endless series of shockers for observers of the presidential election (Jeb out! Donald on top! Bernie whomps Hillary in Michigan! Trump Steaks are delicious even though they’ve been long discontinued by The Sharper Image!) … and mortgage rates. Most economists, myself included, had expected mortgage rates to be higher than they are today. Instead, rates are near three-year lows for a 30-year conforming fixed-rate loan.
In 2015, 86% of buyers financed their home purchase with a mortgage. So mortgage rates—where they are now and where they’re going—have a vast impact on what buyers will do and the stress they will experience throughout the buying process. The extension of low rates has been positive for most buyers, who benefit from increased buying power.
But what happens next?
